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Summary of Hyde v. Wrench, [1840] 3 Bea 334; 49 ER 132.

Facts
Wrench (D) offered to sell his estate to Hyde for 1200 pounds and Hyde (P) declined. Wrench then made
a final offer to sell the farm for 1000 pounds. Hyde in turn offered to purchase the property for 950 pounds
and Wrench replied that he would consider the offer and give an answer within approximately two weeks.
Wrench ultimately rejected the offer and the plaintiff immediately replied that he accepted Wrenchs earlier
offer to sell the real estate for 1000 pounds. Wrench refused and Hyde sued for breach of contract and
sought specific performance, contending that Wenchs offer had not been withdrawn prior to acceptance.

Issue
If one party makes an offer and the offeree makes a counteroffer, does the original offer remain open?

Holding and Rule


No. A counteroffer negates the original offer.

Kindersely and Keene


To constitute a valid contract there must be a simple acceptance of the terms proposed. Hyde rejected the
defendants offer to sell and made a counter proposal which terminated the offer. The offer was never
accepted and cannot be revived later.

Pemberton and Freeling


Wrenchs offer had not been withdrawn before Hyde accepted it and his acceptance created a binding
contract.

The Master of the Rolls (Lord Langdale)


By making a counteroffer, the plaintiff rejected the original offer and he was not entitled to revive it. Under
these facts the parties did not form a binding contract.

Disposition
Judgment for Wrench.

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